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Furlough scheme being extended until summer??

53 replies

Youtakethelead · 19/02/2021 11:59

Just read this, apologies if there’s another post elsewhere about it.

Sudden panic that it equals lockdown past spring?

OP posts:
onlychildandhamster · 19/02/2021 12:01

It could be... But schools are very likely to be back before then..

They are being cautious

felineflutter · 19/02/2021 12:02

I knew it. Here it comes... They have no choice. Schools a priority everything else to remain the same until summer with maybe rule of 6 outside?

Exhausteddog · 19/02/2021 12:02

I think it has always been the case that not everything is expected to open at the same time, so some sectors will take longer.
I don't know how so many businesses will survive being closed for so long. There are so many other costs apart from wages.

Gliblet · 19/02/2021 12:05

They can't reopen everything at once and the sectors that need the support the most are the ones where there are lots of livelihoods at risk if shops, pubs, restaurants, tourist attractions etc can't be bringing in money by being open to the public. All the rhetoric has been positioning us for a gradual unlocking process so I don't see this as a surprise.

skeggycaggy · 19/02/2021 12:06

Unless you thought pubs & restaurants are opening imminently, this isn’t a surprise.

chipsandpeas · 19/02/2021 12:10

@onlychildandhamster

It could be... But schools are very likely to be back before then..

They are being cautious

schools dont come into it, furlough will need to exist until everything can open again like pubs, gyms, resturants
southeastdweller · 19/02/2021 12:17

This is very ominous if true. I expected hospitality, non essential retail and leisure facilities to be fully reopened by June.

Youtakethelead · 19/02/2021 12:21

I honestly thought pubs, restaurants etc were opening in April/May.

OP posts:
skeggycaggy · 19/02/2021 12:23

@Youtakethelead

I honestly thought pubs, restaurants etc were opening in April/May.
But furlough ends at the end of March currently. So if it’s May, people need support till then.
StrangerHereMyself · 19/02/2021 12:24

Bear in mind that redundancy processes and notice periods take time. A hospitality employer who doesn’t have a guarantee that they can open fully could be in deep trouble if they lay themselves open to wage bills with no source of income to pay them.

The Treasury needs to keep the furlough scheme in place for months into the future in order to reassure employers that they are safe to keep their employees on the books otherwise they’d be legally forced to start making redundancies to prevent insolvent trading lawsuits.

Shelovesamystery · 19/02/2021 12:24

They are not going to be able to open everything up by the end of April. Plus furlough can't just end once things are open again anyway.

I work in a restaurant and when I went back to work in July I was still on flexi furlough as the restaurant wasn't busy enough and didn't have the capacity to give all staff their usual hours. If you can only have half the number of paying customers then you only need (and can only afford) half the number of staff on shift at any given time. It will be like this with many industries. I expect that the top ups from flexi furlough are less than unemployment benefits anyway so better to have people working less than usual hours and being topped up with furlough rather than lose their jobs. I expect furlough will be around for a while longer.

Gliblet · 19/02/2021 12:26

Its not just about when they open though, its about consumer confidence and footfall as well. I work with a popular heritage attraction and even when they were allowed to open with rule of 6 and social distancing in place, public transport was running, surrounding hospitality was open for business, their footfall was way down because people were worried about going out and being in contact with lots of strangers. If you're not getting as many visitors you don't need as many staff on site, as many people handling bookings or taking tour groups etc. It's not always as simple as open = no financial problems.

Shelovesamystery · 19/02/2021 12:29

It's basically just giving employers and employees a bit of breathing space while the vaccine rollout continues and until social distancing can end. I don't think it means bad news.

Monkeytapper · 19/02/2021 12:29

@skeggycaggy, end of April at the moment , already been extended

CKBJ · 19/02/2021 12:33

If anyone thought this was a surprise not sure where you’ve been hiding!

AlandAnna · 19/02/2021 12:35

It’s rubbish but I picked up a takeaway from a long running family restaurant near me and chatting to them, they will be relieved that furlough will be extended past March. They are still on the point of shutting up shop though. It’s just awful all round.

ILookAtTheFloor · 19/02/2021 12:36

It would have to keep going. Imagine if someone was employed in corporate events? Festivals? Other mass events?

These things are still some way off and can't be allowed to just go under in the meantime.

Shelovesamystery · 19/02/2021 12:48

Also bare in mind that many of those on furlough are in low paid jobs and would only get SSP if they have to isolate for covid. If they are on flexi furlough then they will get 80% of their wage while isolating. So that's a whole load more people that are very likely to stick to the guidance and isolate when they have symptoms/get tests etc.

That was a real fear for us when furlough was due to end in October. DH and I both work in a restaurant so if we got covid then it would be 2 weeks of SSP and we wouldn't be able to pay our bills. Was a weight off our minds when it was extended as we knew we would be able to do the right thing if need be.

MrsBrunch · 19/02/2021 13:04

@CKBJ

If anyone thought this was a surprise not sure where you’ve been hiding!
This.

Honestly, do people really expect everything to be open at once with crowds of consumers everywhere?

Waxonwaxoff0 · 19/02/2021 13:07

Good. Pubs, restaurants, theatres, cinemas will not be opening any time soon so employees need support.

DarceyDashwood · 19/02/2021 13:08

Where is this info? I can’t see it on any news sites?

Waxonwaxoff0 · 19/02/2021 13:11

I don't think it's ominous. The government have been clear that it's about data not dates when it comes to ending lockdown. They can't possibly say "everything open by May" if infection rates are still too high.

dany174 · 19/02/2021 13:14

Not surprised at all. DH has been on part time furlough from the start, the company he works for is quite specialised and it involves mostly big stadium events. Work got somewhat busy again around October/November then died again in January because of the second lockdown and increase in cases. I don't see the industry coming back that soon. A friend of our works for a mayor airport is having the same problem.

I think pubs, restaurants and gyms will recover sooner than big event and travel industries. And there are a lot of people working directly and indirectly in those industries.

LemonSherbetFancies · 19/02/2021 13:18

Do think it will save hundreds of jobs but the cost of all this is going to be astronomical and that does concern me.

Moondust001 · 19/02/2021 13:18

@Youtakethelead

Just read this, apologies if there’s another post elsewhere about it.

Sudden panic that it equals lockdown past spring?

You just read this where? Sorry but I just checked the BBC site and I am not seeing an announcement like that.
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